Across the oil and natural gas industry, 1.5 percent of the total outstanding shares of its public companies are owned by the officers and board members of those companies (â€œinsidersâ€), compared to 29 percent owned by individual investors who manage their own holdings and who are not insiders, 42.7 percent owned or held by mutual funds and other asset management companies that have mutual funds, 18.1 percent owned or held by asset management companies that do not have mutual funds, and the remaining 8.7 percent owned or held and directly managed by pension funds, insurance companies, endowments and foundations, banks and other financial institutions:
Here is the full study (download PDF) (Robert J. Shapiro and Nam D. Pham)
Of course, you can always wonder who owns the asset management firms 🙂 🙂 🙂
Further reading and References:
Council of Institutional Investors, â€œMutual Fund Assets By Type of Retirement Plan,â€
Board of Governors of the Federal Reserve, â€œFlow of Funds Accounts of the United States,â€ First Quarter, 2007, www.federalreserve.gov/releases/z1/Current/z1.pdf
Chakravarty, Sugato and McConnell, John J., â€œDoes Insider Trading Really Move Stock Prices?â€, The Journal of Financial and Quantitative Analysis,. Vol. 34, No. 2, 1999.
Belkaoui, Ahmed and Pavlik, Ellen, â€œThe Effects of Ownership Structure and Diversification Strategy on Performance,â€ Managerial and Decision Economics, Vol. 13, No. 4, 1992.
Employee Benefits Security Administration, U.S. Department of Labor, â€œPrivate Pension Plan Bulletin Historical Tables,â€ March 2007,
Energy Information Administration, â€œWorld and U.S. Crude Oil Prices,â€ U.S. Department of Energy, http://tonto.eia.doe.gov/dnav/pet/pet_pri_wco_k_w.htm.
Federal Deposit Insurance Corporation, â€œQuarterly Banking Profile,â€ First Quarter 2007, www2.fdic.gov/qbp/2007mar/qbp.pdf.
Hotchkiss, Edith S. and Strickland, Deon, â€œDoes Shareholder Composition Matter? Evidence from the Market Reaction to Corporate Earnings Announcements,â€ The Journal of Finance, Vol. 58, No. 4, 2003.
Investment Company Institute, Fact Book, 2007, â€œAssets of Mutual Funds Held in Individual and Institutional Accounts,â€ Table 45, www.ici.org/stats/mf/107fb_datasec_6.pdf.
Lowry, Michelle and Schent, G. William, â€œIPO Market Cycles: Bubbles or Sequential Learning?â€, The Journal of Finance, Vol. 57, No. 3, June 2002.
Mascarenhas, Briance, â€œDomains of State-Owned, Privately Held, and Publicly Traded Firms in International Competition,â€ Administrative Science Quarterly, Vol. 34, No. 4, 1989.
Pagano, Marco and Roell, Alisa, â€œThe Choice of Stock Ownership Structure: Agency Costs, Monitoring and the Decision to Go Public,â€ Quarterly Journal of Economics, Vol. 113, No. 1, 1998.
Parthiban, David, Kochhar, Rahul and Levitas, Edward, â€œThe Effect of Institutional Investors on the Level and Mix of CEO Compensation,â€ The Academy of Management Journal, Vol. 41, No. 2, 1998.
Parthiban, David, Hitt, Michael A., and Gimeno, Javier, â€œInfluence of Activism by Institutional Investors on R&D,â€ The Academy of Management Journal, Vol. 40, No. 1, 2001.
Shapiro, Robert J. and Pham, Nam D., â€œThe Economic Impact of a Windfall Profits Tax on Federal, State and Local Public Employee Pension Funds,â€ February 2006, www.sonecon.com.
â€œThe Economic Impact of a Windfall Profits Tax on Savers and Shareholders,â€ November 2005, www.sonecon.com.
U.S. Census Bureau, â€œFederal State and Local Governments, 2005 State and Local Government Employee retirement Systems,â€ www.census.gov/govs/www/retire05view.html.